Marginal note:Rate to be included in tariff or confidential contract

134. A competitive line rate must be set out in a tariff or confidential contract.

Marginal note:Effective period of rate

135. If a competitive line rate is established by the Agency, it has effect for one year after its effective date, or for any other period that the shipper and the local carrier agree on.

Marginal note:Obligation of carriers to provide cars

136. (1) If a competitive line rate is established, a railway company, other than the local carrier, shall provide the shipper with an adequate supply of cars for the traffic being moved.

Marginal note:Additional obligations

(2) Subject to any agreement to the contrary between the local carrier and any connecting carrier concerned, the connecting carrier is responsible for

(a) a prorated share, determined in accordance with subsection (3), of the costs of operating and maintaining the interchange during the period in respect of which the competitive line rate is in effect; and

(b) the capital cost of making any change or addition to the interchange that may be necessary for transferring the traffic for which the competitive line rate is established.

Marginal note:Determination of prorated share

(3) The prorated share is the proportion that

(a) the competitive line rate traffic transferred at the interchange during the period

is of

(b) the total traffic transferred at the interchange during the period.

Marginal note:Tariff to set out service obligations

(4) The tariff setting out a competitive line rate must set out the manner in which the local carrier issuing the tariff shall, subject to subsection (1), fulfil its service obligations

(a) as agreed on by the shipper and the local carrier, if they agree on the amount of the competitive line rate; or

(b) as determined by the Agency, if the amount of the competitive line rate is established by the Agency under section 132.

Limiting Carriers’ Liability

Marginal note:Agreement limiting liability

137. (1) A railway company shall not limit or restrict its liability to a shipper for the movement of traffic except by means of a written agreement signed by the shipper or by an association or other body representing shippers.

Marginal note:Liability if no agreement

(2) If there is no agreement, the railway company’s liability is limited or restricted to the extent provided in any terms and conditions that the Agency may